Gurunavi : Supplementary materials on the results for 2Q FY2019 and Medium-term Business Policy

INVESTOR PRESENTATION

Financial Results for the First Half of the Fiscal Year 2019 Medium-term Business Policy FY2020-FY2022

Gurunavi, Inc. （Stock Code: 2440）

© 2019 Gurunavi, Inc.

Financial Highlights

• Financial highlights for the first half of FY2019

	Net sales	JPY	15,163 million	(5.3) % YoY
	Operating income	JPY	681 million	(33.9) % YoY
	Operating income on net sales		4.5 %	(1.9) pp YoY
	Net income attributable to owners of parent	JPY	484 million	(28.0) % YoY
	Basic earnings per share (EPS)	JPY	10.34	(28.0) % YoY
	Number of all paying member restaurants	58,951	(2.8) % YoY
	(Including member restaurants with other fee type contract)	(At the end of September 2019)
	Number of basic member restaurants with annual fixed fee	56,210	(4.3) % YoY
	(At the end of September 2019)
	Number of Gurunavi members	17.96 million	10.5 % YoY
	(As of October 1, 2019)
© 2019 Gurunavi, Inc.					2

Financial Highlights and Full-year Consolidated Forecasts ①

• Half-yearresults : Profits exceeded initial forecasts significantly
• • Net sales exceeded initial forecasts centering online reservation commission fees
  • Cost fell below initial forecasts significantly due to postponed budget execution and advance fixed cost reductions ahead of schedule
• Full-yearforecasts : Upward revision

					Full-year
（JPY million）		1H
	Previous	Results	Change	Previous	Revised	Change
	forecast	forecast	forecast
Net Sales	14,400	15,163	+763	30,800	30,800	-
Operating income	(2,000)	681	+2,681	(3,500)	(2,000)	+1,500
Ordinary income	(2,000)	700	+2,700	(3,500)	(2,000)	+1,500
Net income attributable to owners	(2,020)	484	+2,504	(3,550)	(2,050)	+1,500
of parent
Basic earnings per share (JPY)	(43.13)	10.34	+53.47	(75.80)	(43.77)	+32.03
Annual dividends (JPY)	4.00	4.00	-	8.00	8.00	-

© 2019 Gurunavi, Inc.	3

Financial Highlights and Full-year Consolidated Forecasts ②

• Changes in operating income from previously announced forecasts

1Ｈ

2Ｈ

Operating

income

＋2.7 billion yen

-2.0 billion yen

• 0.7 billion yen

Operating

income

-1.2 billion yen

-1.5 billion yen

⇒ -2.7 billion yen

＋

＋

＋

＋

－

－

Net Sales exceeded initial forecasts centering online reservation commission fees and promotion businesses

Postponement of budget execution for advertising / sales promotion expenses

Cost reduction progressed ahead of schedule to strengthen earnings structure

Continue to promote cost reduction centering on fixed cost

Careful review on expected online reservation commission fee growth

Execution of postponed budget described above

• Additional expenses for promotion of strengthening measures based on medium-term business policy

Full-year Operating income ＋1.5 billion yen compared to initial forecast

（-3.5 billion yen ⇒ -2.0 billion yen）

© 2019 Gurunavi, Inc.	4

Progress of measures to expand use of online reservations ①

Main measures for expanding

use of online reservations

Maximize reservations

Expand members	Improve	Enhance vacant
(user identifier tie-ups with Rakuten) ×	user interface	× seat information
Raise awareness and	Improve reservation	Provide seat information in
promote use	conversion rate	line with user needs

© 2019 Gurunavi, Inc.	5